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Wednesday, July 11, 2012

MedStartr Launches First Crowdfunding Platform For Medical Startups

New York, NY – July 11, 2012 –MedStartr (www.medstartr.com), the first crowdfunding platform designed for healthcare companies, announced the Company’s launch today. According to the Company, the site enables doctors, patients and healthcare stakeholders to contribute directly to the success of healthcare startups. MedStartr provides a vehicle for startups to market products, generate awareness and raise capital through the increasingly popular method of direct, online funding first made popular by sites including Kickstarter. On the site, companies set a funding goal, and tell their stories in video and text. Companies post at no cost with MedStartr taking a small percentage of funds only when fundraising efforts succeed.

"We created MedStartr as the answer for every healthcare company that needs to get to that next important stage. This will be a game changer for startups taking their first steps," said Mr. Fair. Fair’s Co-Founder Mike Pence was the original lead developer on the Kickstarter project.

Contributors on MedStartr receive gifts, incentive deals, rewards and early access to products in return for their contributions, all in lieu of equity. A new federal bill, the JOBs bill will allow companies to offer equity to those who invest online. But this new equity model won’t come into effect until news SEC rules are clarified. With the launch of its new site, MedStartr leads the way in healthcare crowdfunding today.

Said Fair, "For medical startups, MedStartr offers undiluted funding without turning to investors. Companies that reach their funding goals achieve the market validation they need." According to Fair, companies are also able to more precisely target customers with new products at a fraction of the cost of typical marketing efforts.

Among companies with a presence on the website at launch are EndoGoddess, an Ohio-based company raising money in a partnership with Duet Health for a clinical trial of a diabetes management app. Partner Dr. Jen Dyer said "MedStartr gives patients the opportunity to participate in the vital research that ultimately affects their healthcare and lives."

Another company on MedStartr is Avado, a physician-patient communication platform on which patients schedule medical appointments. In a recent Forbes blog, Avado CEOn

David Chase said, "With the need to reinvent healthcare and the challenge of getting a startup off the ground in the healthcare industry, MedStartr can fill an important market gap."

Fair reports that the company is already cash positive and is reviewing more than 100 company applications. A partner program is also succeeding, signing with its first partner, Cancer101.

"Our platform is first and foremost, for patients who have not had a say in the innovations created to improve their health," said Fair. "The future of our healthcare system demands that we support these companies. At MedStartr, we are providing a platform that will create that success," he said.